NEW YORK, Nov. 12 (Xinhua) -- Major entertainment streaming provider Netflix Inc. said on Tuesday that 70 million viewers are watching its shows with advertising every month, nearly double the total from May, a sign that more acceptance emerges for such a commercial pattern.
More than 50 percent of new subscribers are opting for Netflix's ad-supported plan in the countries where it is available, Amy Reinhard, the company's president of advertising, said in a blog post. The company is seeing "steady progress" across all 12 countries where the advertising plan is available, Bloomberg News reported Tuesday.
Netflix plans to make advertising a major revenue source to complement subscriptions, yet its ad business is still small relative to peers. For years, the company positioned itself as an alternative to ad-supported TV and only introduced commercials when it lost customers in 2022.
"Netflix has priced its advertising-supported plan as a less-expensive alternative for cost-conscious users, a tactic that has produced steady growth," said Bloomberg News in its report about the finding. "The company had 40 million monthly active users on ad plans in May. It finished the third quarter with a total of 282.7 million subscribers."
